Wealthy still consider UK 'safe haven' for investment despite Brexit - poll

The majority of wealthy people in Britain, who have at least one million US dollars, think Brexit will be good for the country, a survey suggests.

Three-quarters (75%) of high net worth individuals, who have assets of more than one million dollars, excluding property, believe leaving the European Union will be good in the long term, while 70% think it will have a beneficial impact in the short term.

More than 70% said the UK remains a "safe haven" for investment in an unpredictable world, the Censuswide poll for UBS found.

Although younger voters apparently overwhelmingly backed Remain in June's referendum, only around a third (35%) of wealthy 18 to 34-year-olds now believe Brexit is a "source of uncertainty".

The vast majority (83%) of that group said Brexit will have a "positive impact" on their long-term financial planning, compared with 70% of 35 to 44-year-olds and 74% of over-65s.

Nick Tucker, of UBS Wealth Management, said: "UBS Wealth Management doesn't take a political view on Brexit. But our client conversations around the country have revealed significant levels of anxiety. This latest data of UK millionaires suggests a more complex picture. Over the longer term, most are now taking a positive view.

"We still, however, see many investors holding on to cash, rather than investing. This is especially true of younger investors. In an environment of returning inflation and low interest rates, we recommend looking for investments with a higher return - whether in the UK or around the world.

"UK assets themselves have proven more resilient than feared and we expect this trend to continue in the coming months. Even with this positive picture, and the bullish confidence we see on Brexit, investors should still look for a balanced portfolio, rather than sticking all their eggs in this one British basket."

:: Censuswide interviewed 401 individuals in Britain with at least one million dollars of investable assets, excluding property, who are often defined by the financial services industry as "high net worth individuals".

The research was carried out in January and February, on behalf of UBS Wealth Management.